Dealer stock inventory numbers

[pastureprofit]

really enjoy your analysis brotherjohn. you seem to put alot of faith in dealer stock inventory numbers. do you believe that dealers show their real numbers all of the time?

if you have millions of dollars in a commodity that you needed to hedge and maintain predictable margins you would definately withhold inventory during violent price swings. it is impossible to hedge your bets when the price is moving so fast. this would seem especially true on low margin (junk) and high margin (rare) coins. in order to maintain a predicatable profit margin while using hedges you have to have a predictable price instead of a violent one. that is why they withhold inventory.


i enjoy your commentary about dealer inventories but i dont agree with how you portray its relevance to the points you are making.

would like to hear your opinion.